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Pin to quick picksNext Share News (NXT)

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Share Price: 9,214.00
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UPDATE 1-Queues and limited browsing in store for English shoppers

Tue, 26th May 2020 18:10

(Adds company reaction)

By James Davey

LONDON, May 26 (Reuters) - People eager to hit the shops
again when English high street retailers, department stores and
shopping centres reopen will face queuing and few opportunities
to try products.

Stores will look and operate very differently from how they
did before a coronavirus lockdown was imposed on March 23 as
they comply with new health and safety and social distancing
rules.

The British government said on Monday that outdoor markets
and car showrooms in England can reopen from June 1 followed by
all other non-essential retail from June 15.

The reopening only applies to England, with retailers in
Scotland, Wales and Northern Ireland waiting for guidance from
their devolved administrations on when they can resume trading.

Several of the biggest retailers are not planning to open a
swathe of stores straight away, with retail analysts warning
that compliance with the new health regulations will bring
complexity to trading and higher operating and capital costs.

Next, which has about 500 clothing stores in Britain
and Ireland, said it would only reopen 25 on June 15, while
department store chain John Lewis, which has 50 stores, said it
would phase its reopening to test the changes.

Fashion retailer Primark, which has about 190 stores
in Britain, said it would only reopen them when "convinced that
it is safe and right to do so."

Marks & Spencer, which has kept its food business
going through the crisis, was the exception in planning to
reopen the majority of its clothing activities on June 15.

LOOK, DON'T TOUCH

All four retailers are benefiting from a job retention
furlough scheme which the government told employers they will
not have to help meet the cost of until August.

The safety guidance, laid out in a 33-page document,
requires more cleaning, queuing systems with one-way flows and
increased signage, and fewer customers in stores, while shopping
with children is discouraged.

As at supermarkets, which have traded through the lockdown,
check-out areas in English stores will have increased screening,
while store staff will wear equipment such as face masks and
gloves. Regular hand sanitisation will be encouraged.

Customers will also be encouraged to avoid handling products
whilst browsing - a particular problem for clothing retailers.

Fitting rooms should be closed wherever possible, while
goods that have been tried-on or returned by customers should be
stored in a container or separate room for 72 hours, or cleaned,
before being re-displayed.

"Queues outside stores, restricted numbers inside, no
ability to browse with friends, nor to try on (or possibly even
touch) clothes before the purchasing decision will all severely
detract from the shopping experience," David Beadle of Moody’s
Investors Service said.

"As such, prospects of lower revenue and additional costs
will see some retailers keep shops closed initially at least."
(Reporting by James Davey; Editing by Susan Fenton and
Alexander Smith)

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